Hello All, we are using charges to invoice and rec...
# generalt
Tahir Mustafa
01/15/2025, 5:37 PMHello All, we are using charges to invoice and recognise revenue for projects. Stuck with a situation where Credit memos generated from the charge based invoices following item revenue recognition rule than project revenue rule. Any help or experience with this scenario is appreciated.
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Shaikh Abrar
01/15/2025, 5:38 PMCharge must have been created with negative quantity
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Tahir Mustafa
01/15/2025, 5:40 PMNope. I saw a SuiteAnswer where it says creating a negative charge separately and use it on Credit memo. But the rev rec of CM still does not follow the project revenue rules for recognition.
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Shaikh Abrar
01/15/2025, 5:41 PMDid you validate what exactly charge created this Credit memo?
Shaikh Abrar
01/15/2025, 5:43 PMAnd trace back the origin of the charge. Must have been some date change or some quantity reduction that indirectly impacts on the calculated revenue and reduces it as to what is already been recognized or calculated as actual. That's where the credit memo is generated.
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Tahir Mustafa
01/15/2025, 5:51 PMThe scenario is as below:
1- Project created with fixed fee rules and project revenue rule set to as Charges
2- invoice created from the charges above.
3- Revenue recognised based on project revenue rule.
Now accounting needs to create a Credit memo for invoice created in Step2 and recognise the Credit memo just like invoice as project revenue rule.
Tahir Mustafa
01/15/2025, 5:52 PMCurrently when you create the CM from the invoice that has a charge, it doesn’t automatically create any negative charges for Credit memo. Just brings the item and also follows the rev rec according to the rule set on item level
Tahir Mustafa
01/15/2025, 5:53 PMWhereas ideally there should be a way to generate negative charges from the project to create Credit memo and recognise rev rec for CM using project revenue rules
Tahir Mustafa
01/15/2025, 5:56 PMWe dont want to impact the original charges as they are already billed to the customer.
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Shaikh Abrar
01/16/2025, 3:40 AMwhat is your source of the charge? Are they created based on timesheet?
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